Covid and Asia’s Inequalities

Since 1990s, neoliberal economic policies, decreases in taxes and rising profits were channelled into the elite few, be it the Ambanis, Kuoks or the mainland Chinese billionaires.

With Covid-19 more than a million lives were lost in Asia. Sharp differences in wealth and income only got amplified.

Between March and December 2020, 147 million full time jobs were lost in the Asia-Pacific region. The World Bank estimates that 140 million people dropped into poverty while in 2021 another 8 million people became poor. The impact was most severe on women, minorities and migrant workers.

Source: https://www.globalcitizen.org / Rajanish Kakade/AP

For the billionaires, their numbers grew from 803 in March 2020 to 1,087 in November 2021. And their wealth? That grew by 74%. Asia’s richest 1% owned more wealth than the poorest 90%.

In 2020, UNESCO estimated that 10.45 million children would drop out of school or university forever due to the pandemic. This will have far reaching impact on equal opportunity.

Oxfam’s report shows that wealth tax of 2-5% on Asia’s multi-millionaires and billionaires could raise an additional US$780 billion a year. That would be enough to support increased public health and enhance opportunities in education.

Time is now to discard neoliberals policies of the rich and build on recovery measures. We need a green recovery, inclusive business model, less inequality and better human rights. This could only mean higher taxes on the super-rich individuals and corporations – and better management of costs and resources. Crisis creates opportunities and it is time to build back better whether it is Malaysia, Japan, China or India.

Reference:

Covid-19 worsens Asia’s staggering inequalities, Amitabh Behar, Sunday Star, 23 January 2022